Changes to Statutory Sick Pay
As of 6 April 2014, it is no longer possible for an employer to reclaim Statutory Sick Pay (SSP) from its national insurance contribution. This is as a result of the Government changing its rules. These previously allowed any amount of SSP that exceeded 13% of the employer’s monthly national insurance contribution to be reclaimed by the employer.
The reason for the change is to provide employers with a greater incentive to get employees back to work as soon as possible. This is likely to have a considerable effect on how employers manage sickness absence now that they will have to foot the entire bill.
The rate of SSP has also recently increased to £87.55 per week (from £86.70). However, the first 3 days of sickness absence (known as the ‘waiting days’) will still be paid at zero.
If you have any questions or queries regarding this update please contact our Employment team.Back to index